In times of reduced cash flow, people everywhere are looking to save money. It makes sense. Coupon clipping, bargain shopping, and sale pricing are all great and economical ways to save a little extra cash. But some individuals have thought dangerously outside the box by reducing their car insurance coverage, according to a new study by analytic firm, Quality Planning.

The study found that now more than ever, people are reducing their car insurance coverage in light of tough times, some drivers opting for liability-only and little to no uninsured motorist coverage, depending on state law requirements.

Just last year, 10 percent of motorists reduced their car insurance coverage to just liability insurance. This saved drivers just $229 a year on average. These drastic measures to save money may work in the interim, but the future risk outweighs the potential benefits of saving money today.

Save money today, but gamble your future? – Don’t risk it.

Here in the state of California, the car insurance minimums require liability coverage at the very least. The minimum liability coverage an individual must carry in the state of California is $15,000 of coverage per individual, and $30,000 per car accident.

The state of California does not require uninsured motorist coverage. While it may be tempting to save the few extra dollars by opting out of the “optional” coverage, don’t opt out of this important and relatively inexpensive insurance coverage option.

Keep your uninsured motorist coverage, and consider raising limits.

One of the most valuable “investments” you can make is opting into uninsured motorist coverage. You may even wish to raise your limits. Why?

  • Uninsured motorist coverage is extremely necessary in the event you are involved in an injury car accident with another driver who has little to no car insurance. If you must ever face medical bills resulting from an injury accident, your uninsured motorist coverage will likely foot the bill, alleviating you of the financial burden of resulting from your accident.
  • Uninsured motorist coverage will cover you in the event you get into an accident with a corporate entity. For example, if you get into a car accident with a taxi cab, the cab company may not be liable for the accident since cab drivers are often independent contractors who carry minimum insurance limits themselves. Take in consideration the recent developments in San Diego’s Stingaree taxi cab accident.

Injury car accident recovery for drivers without uninsured motorist coverage

If you have been injured in a car accident without uninsured motorist coverage, you still may be able to receive compensation for your injuries. The laws surrounding your insurance claim are usually complex in nature, so it’s important to call a qualified San Diego personal injury attorney right away in order to preserve your legal rights.

Call the Pines Salomon Injury Lawyers, LLP., car accident attorneys, at 1-858-551-2090 or contact us online for your free and confidential legal evaluation.